By Paul R Salmon FCILT, FSCM
This is one of the most common questions we hear – and it’s easy to see why. To many people, the trucks on the motorway, the containers at the port, or the parcels arriving at their door are the supply chain. But in reality, logistics and transport are just part of a much bigger picture.
The supply chain is the end-to-end network that ensures products and services flow from idea to customer. It includes everything from sourcing raw materials, manufacturing, planning, warehousing, and distribution, to customer service and even returns. Think of it as the nervous system of a business, connecting suppliers, partners, and customers in a seamless (and often invisible) way.
Let’s break it down:
Transport is about moving goods from one place to another. It’s vital – but it’s only one link in the chain. Logistics focuses on the efficient storage, movement, and handling of goods. It’s about optimising warehouses, inventory, and distribution networks. Supply Chain Management (SCM) goes beyond both. SCM is about designing, planning, executing, and continuously improving the entire chain. It includes strategy, data analytics, risk management, supplier relationships, sustainability, and innovation.
A resilient supply chain ensures businesses can respond to challenges like geopolitical shifts, climate change, and technological disruption. Without it, even the best logistics and transport networks will struggle to deliver.
So next time someone asks if supply chain is “just logistics and transport,” remind them: logistics keeps the goods moving, but supply chain keeps the world moving.
